Opposition has also sought an enquiry by Income Tax department into bank transactions of state BJP leaders to "unearth black money".

"(Recovery of cash) proves that BJP leaders are in the possession of black money. Since the government has launched a campaign against black money and corruption, properties of the BJP leaders should be searched to unearth black money.

"He (the minister) should be sacked from the ministry and arrested," NCP spokesman Nawab Malik said in a press conference.

According to reports, cash worth over Rs. 91 lakh belonging to Lokmangal Group of the minister was seized by the squad of Osmanabad municipality yesterday. The cash reportedly comprised of the now-invalid tender of Rs. 1000.

The minister was not available for comment. His assistant claimed that Mr Deshmukh was not in town.

Meanwhile, state unit Congress spokesman Sachin Sawant has demanded a probe by I-T department into the bank accounts of prominent BJP leaders in the state and the transactions made into them in the last six months.

He also sought ouster of Mr Deshmukh from cabinet. Mr Sawant alleged that certain BJP leaders were aware of the demonetisation move in advance.

"There is a possibility that BJP leaders and ministers in Maharashtra and Mumbai might also be aware of the decision in advance. So there is a need to probe their bank accounts," Sawant said in a statement.

A few days ago after the demonetisation, old currency notes worth more than Rs. 6 crore were seized from the brother of a BJP MLA in western Maharashtra while Rs. 91 lakh has been seized from Subhash Deshmukh's Lokmangal Bank in Umerga town, Sawant stated.